A trial run last month was successful enough that the Alymer ethanol plant will accept high vomitoxin Ontario corn again in the New Year.
Plant commercial manager Brad Lindner said in an interview Friday high vomitoxin will start being processed in early January, providing an alternative market for those producers in the province whose 2018 corn crop was impacted by extraordinarily high DON levels. The plant will be offering $3.50/bu for any high vomitoxin corn, with no testing.
Due to hot, wet and humid weather throughout much of August and into September, portions of this year’s Ontario corn crop are experiencing high DON levels. In some cases, the problems are so severe crops are being heavily discounted or rejected outright at the elevator, resulting in potentially deep financial losses for growers.
Lindner said the ethanol test run – which occurred the week of Nov. 26 – showed the high vomitoxin corn did not have any detrimental impact on plant efficiencies. As expected, however, the resulting DDGs tested at DON levels several times higher than the corn.
Buyers of the DDGs from the test run indicated they simply planned to blend the material with other DDGs in order to bring the DON levels down to an acceptable level for livestock feed, he said.
“We just put it out there at a low price,” Lindner said of the impacted DDGs. “Most of the buyers; it went out of the area – like further north in Ontario and eastern Ontario and Quebec. They just said they’d blend it, and use it that way.”
Lindner indicated there’s also been export interest in the DDGs, with those buyers indicating their plans to blend as well.
“They get a bargain . . . and it’s making the best of a bad situation.”
Lindner said Alymer plant, which uses 100,000 bu of corn per day, will continue to process the high vomitoxin corn for as long as the supply holds up. How many farmers will take advantage of the offer will depend on a variety of factors, he said, including proximity to the plant, trucking costs and potential crop insurance payouts.
“It’s almost a farm-by-farm situation,” he said, adding he’s seen situations where farmers are simply dumping their crops.
“For us, we’re saying ‘hey, we’re providing an option for producers who don’t have a market elsewhere.’”
Source: DePutter Publishing Ltd.
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